Promoting a Best Interest Standard of Care for Clients at LPL’s 2019 DC Fly-In

Promoting a Best Interest Standard of Care for Clients at LPL’s 2019 DC Fly-In

June 06, 2019
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Last month I had the opportunity to spend time in our nation’s capital with LPL’s Government Relations team and fellow LPL advisors. While in Washington, D.C., we dedicated ourselves to advocating, educating, and relationship-building with members of Congress on both sides of the aisle. Our message centered on the LPL business model – emphasizing that we are small business owners who are embedded in our communities and provide vital financial services.  Moreover, in each meeting, we described how we support “Main Street” investors, deliberately distinguishing ourselves from “Wall Street.”

Senator Jones (D-AL) and I discussing current issues affecting LWM clients

We touched on the following policy issues affecting our industry:

  • The 20% pass-through deduction, included in the Tax Cuts and Jobs Act (TCJA), and the unfair advantage it gives to insurance over financial advisors. Read Dan Arnold’s written testimony on TJCA here.
  • The Setting Every Community Up for Retirement Enhancement (SECURE) Act of 2019, particularly the potential problems with the Stretch IRA provision. See LPL’s letter of support here.
  • SEC Regulation Best Interest Standard. See LPL’s Supplemental Comment Letter here.

The SECURE Act of 2019 passed the House of Representatives by a near-unanimous vote in late May. Read what this might mean for your retirement plan [Forbes].

We engaged with the following Members at our reception and dinner:

Meeting with Congressman Anthony Gonzalez (R-OH)

We had meetings with the following Members:

I left feeling confident that my voice was heard and those we met with have a better understanding of how policy will affect our business and the end-investor. You can read more about LPL’s policy positions by visiting the Advocate page on the LPL Government Relations website.

If you have questions about how current policy issues affect you as an investor and client, please contact our office to arrange a call or meeting with me. I would be happy to discuss the impact of these policies on your current financial strategy.